Abstract [en]

Fair Trade is an international movement which aims to strengthen the livelihoods of producers in the South, and to give the opportunity for conscious customers in the North to buy socially and environmentally friendly products. The conventional trade system is criticised, as well as the efficiency of aid to support developing countries. The core idea of Fair Trade is therefore “Trade not Aid”, where marginalised producers are given the chance to improve their living conditions by fair wages, market access and improved working conditions. The aim of the thesis is to investigate the potential of Fair Trade to contribute to sustainable development and empowerment, which therefore also act as the theoretical frameworks for this thesis. Sustainable development is investigated by its division into economic, social and environmental sustainable development. Fair Trade is furthermore investigated through specific key elements connected to these theories, by performing interviews with managers and producers within five separate Fair Trade organisations in India and Sri Lanka. The main findings within this study reveal how Fair Trade does have the potential to contribute to sustainable development and empowerment to a certain degree. It is specifically prominent regarding social development and empowerment, while economic development occurs mainly on an individual level. The contribution to environmental development is also possible to detect, even though it remains clear how the initiative to do so might not always be fully related to environmental causes.